NW Peloponnese Block is one of the three onshore blocks offered in the 2015 onshore tender in Western Greece. The “Selected Applicant” for the NW Peloponnese Block is Hellenic Petroleum (February 2016). The negotiations have been completed and the Lease Agreement is expected to be signed in 1Q’ 2017. Founded in 1998, Hellenic Petroleum is one of the leading energy groups in South East Europe, with activities spanning across the energy value chain and presence in 6 countries. Its shares are primarily listed on the Athens Exchange with a secondary listing on the London Stock exchange. The NW Peloponnese block is located in western Greece and covers an area of 3,778.3 km2. The Block contains protected coastal lagoons (Kotychi and Kalogria) and low elevation marshy areas mainly to the W – NW of the area. Main rivers included are the Peiros to the north, Pineus in the central area and the Alfeus to the south. The mountain of Skolis (960m) forms an abrupt and prominent feature to the north west of the contract area. The NW Peloponnese is part of the western Hellenides thrust fault belt, which runs parallel to the coast of western Greece. Skolis mountain represents the tectonic boundary between the Ionian and Gavrovo zones and is a perfect example of compressional tectonics in a thrust fault belt. It gives the opportunity to study the structure and relationship between the Gavrovo and Ionian zones. From a structural and geological point of view, this area is characterized by the presence of Pindos, Gavrovo and Ionian tectono-stratigraphic units. The two main relevant geotectonic zones, in terms of hydrocarbon potential in this block are, moving westward, Gavrovo and Ionian Zones, related to a N-S trending fold and thrust belt system that, especially for the Ionian area, produce oil and gas fields both in Albania and Peloponnese offshore. The aim of activities planned, during the exploration phase, is targeting to obtain the clearest evaluation of the subsurface hydrocarbon potential in the block. Western Greece is characterized by a long geodynamic history in which different tectonic events have generated very complex structures. Useful links

HHRM seeks people with experience and skills to drive its projects forward. Joining HHRM is a rewarding career course in a diverse team sharing the common value of integrity and technical quality. The following positions are available at our Athens offices:

The Prinos Oil Field is the main structure in the Prinos-Kavala basin, located offshore in the Gulf of Kavala. It covers an area of 4 km2, about 8 km north-west of the island of Thassos and 18 km south of the mainland of North Greece, in a water depth of 31 meters. Today, Prinos 2P reserves stand at 11,7 mbbls (2P), which are independently audited. Following the wells drilled in the context of the ongoing drilling programme and the interpretation of the 3D seismic data acquired in the summer of 2015, Energean estimates that there are 10 more million barrels of 2P reserves in Prinos and waits for the independent audition. The 2C contingent resources associated with a notional extension of water injection are 24.7 mln bbls.

Since the summer of 2015, “Energean Force”, Energean’;s own drilling rig, has been executing a 7-well drilling programme in the field, as a part of a new 200-million-dollar investment. After the completion of the drilling of four wells (PA-35A, PA-40, PA-36 and PA-41), production rates exceeded 4,500 bopd of medium grade sour oil plus associated gas. Currently, fourteen wells are producing and four are injecting sea water. After the completion of the drilling of wells PA-40, PA-36 and PA-41, Prinos’oil production averaged 3,177 bbls daily in 2016, that is a 151% increase compared to 2015 production.

Field

The Prinos field is formed by a low relief faulted anticline, with oil trapped in the Prinos Group reservoir of Miocene Age at a depth of between 2490 and 2770 m TVDSS. The reservoir produces under-saturated sour crude oil with an API gravity of between 27 and 30 degrees. Prinos contains up to 60% hydrogen sulphide gas. The onshore ‘Sigma’ plant complexity is driven by facilities to remove this toxic gas and convert it to Sulphur. Sulphur is sold to a local fertilizer plant. Excess gas is sold to the same company.

History

The Prinos basin was explored in the 1970’s and the Prinos field was discovered in 1974, through the drilling of Prinos-1, the first exploration well drilled in the area. It was developed in the late 1970’s and brought into production in 1981. The initial development of the field, following the drilling of the delineation wells which confirmed the extent of the Prinos reservoir, took place from 1979 until 1981. Facilities were installed offshore and onshore to allow 30,000 bopd to be produced along with associated gas. Two drilling jackets were installed above the Prinos field, bridge linked to an unmanned offshore processing platform. These offshore facilities were linked by pipeline to shore where a complex gas and oil processing plant was constructed along with oil storage tanks (500,000 bbl capacity) and offshore loading terminal. Crude oil production commenced in early 1981, at initial rates of 8,000 to 10,000 bopd. Production peaked at more than 27,000 bopd in 1985, however it has steadily declined since then. Prinos 2P reserves were initially estimated at 60 million oil bbls, but the field has already produced almost 110 million bbls since 1981

Epsilon

The Epsilon Oil Field has 15,3 mmboe 2P reserves which have been audited by ERC Equipoise. STOIIP is estimated at 39mmboe while the recovery factor stands at 1%, as only 300,000 mbls were produced in 2010. The interpretation of the 3D seismic data acquired in 2015 is under process and it is expected that will result in increasing the estimated STOIIP and 2P reserves. Energean has planned to develop the field through a new development project which consists of: (1) The design, fabrication, installation, commissioning and subsequent operation of a new well-head jacket platform (called “Lamda”) approximately 3.5 km’s NW of the existing Prinos platforms. Lamda has been designed to be normally unmanned; (2) The installation of three sub-marine pipelines that connect Lamda to Prinos Delta: (3) The drilling of 5-9 wells. This new development plan will cost approximately $50 million for the jacket and pipelines and approximately $60 million for the wells.

Field

The Epsilon oil field is an anticlinal structure some 3 km to the west north west of the Prinos oil field. The field was discovered in 2000 when Well E-1 tested sour crude oil with an API gravity of 36 degrees in reservoirs belonging to the Prinos Group at a depth of about 2800 m TVDSS. The well was side-tracked a year later to a location some 500 metres to the south east, confirming the reservoir presence and tested oil.

HistoryExploration activity in the Epsilon field area began in the 1990s, when the anticlinic Epsilon structure was identified by interpretation of 2D seismic data. The area remained a low priority, and was only partially covered by the 1993 3D seismic cube. The 3D seismic survey acquired in 1997 however, covered the whole area, and made it possible to map the structure, and consequently upgrade Epsilon as a high priority exploration target. The field was discovered in 2000 when Well E-1 tested sour crude oil with an API gravity of 36 degrees in reservoirs belonging to the Prinos Group at a depth of about 2800 m TVDSS. The well was side-tracked a year later to a location some 500 meters to the south east, confirming the reservoir presence and tested oil. Energean drilled an extended reach multi -lateral well, EA-H1, which was successfully completed in January of 2010 and produced for a 12 month period cumulative oil production over 0.3 MMbbls. The length of the well reached 5,297 m, with more than 450 m horizontal section of each leg, being thus far the longest well in the Mediterranean. A geophysical campaign took place in Q3 2015 as part of the Epsilon development project. A detailed bathymetry survey of the area affected by the Epsilon project was conducted and used as input for both the design and ESIA work stream.

South Kavala

On November 2015, Energean was awarded a 3-year extension in the duration of South Kavala license and has been preparing a new development plan for the period 2017-2019 that will cost approximately US $1.5 million. The project is under evaluation and includes the installation of down-hole pumps in two of the existing wells to remove liquids from the well bores and will enable the field to be placed back into continuous production, increase condensate yields and bring recovery eventually up to 98.5%, as the remaining gas reserves are approximately 2.6 Bcf.

HistoryThe South Kavala Field was discovered by SK-1, the first exploration well drilled in the Basin in 1972, in the same initial exploration campaign that found the main Prinos oil field and Zeta. The structure was confirmed by 6 more exploration and appraisal wells. It was developed in parallel to Prinos as a remote satellite during the period 1979-1980. Two producing wells are active since then, with an average total depth of 2,050 meters. A single well jacket was installed and linked back to Prinos with a 12” pipeline. South Kavala contained approximately 1 BCM of sweet, lean gas. It was developed to supply fuel gas to Prinos and the onshore plant. In the 1990’s wellhead compression was added to the jacket to maintain production.

The USP ProjectThe depleted field is suitable to be converted into an Underground Gas Storage (UGS) linked to the TAP pipeline that will transit Greece 2km from Energean’s onshore processing plant. Energean has submitted on 1st July 2011 to the Regulatory Authority of Energy (RAE) an application for the acquisition of a license that permits the installation of the storage and the conversion of the almost depleted field into a UGS, in accordance to the Law No 3428/2005 (relates to the release of the natural gas market in Greece.)This development is on hold awaiting approval from the Greek government. Conversion to UGS would require an investment of approximately initially estimated at US $400 million.The key characteristics of the project are as follows;• Investment of €350 -400MM• Working gas volume 530×2 MCM, with annual Working gas volume 1 BCM, delivery of minimum 2 cycles per year, with a duration of up to 90 days• Maximum injection 7 mln m3/day• Pipeline gas for fill-up and operations• Existing Kappa Platform with new 32 km high capacity pipeline to Sigma site• 5 wells; 7″ completion; min THP 18 barSouth Kavala is considered a strategic location for the stability of the country and region’s energy supply. The UGS project was adopted by the European Commission as a Project of Common Interest under Regulation (EU) No 347/2013 on Guidelines for trans-European energy infrastructure, but since there are no decision from the Greek State, it was excluded from the list.

Overview

HHRM is a growing company which provides an innovative management of the Greek hydrocarbons resources. With offices in Athens the company offers to the global oil and gas industry the possibility to visit data rooms, examine high quality seismic imaging and legacy data, and to be informed in the procedures of license application and fiscal and legal terms in the country.

HHRM has the technical knowledge of the key regions with hydrocarbon prospectivity in Greece and can help the industry to make better exploration decisions. We focus on both proven petroleum systems associated with production and key frontier areas. The seismic data library is combined with 179 wells and comprises new acquisition offshore 2D, legacy reprocessed 2D and 3D data offshore and onshore with associated reports and studies.

Yannis Bassias – President and CEOYannis has 25 years, in the international oil and gas exploration and services business. Since 2012 advised several companies in EEZs of the Indian Ocean, Equatorial America and West Africa on geological and legal aspects of frontier hydrocarbon basins. From 1997 to 2012, as president of Georex group, he demerged the exploration assets from the service activities and established technical subsidiaries in France, United Kingdom, Tunisia and the Republic of Congo. Managed database projects on CIS reservoirs, data mergers for Total, PetroFina and Elf, seismic data transcription for Snpc and Esso. Between 1996 and 2000 he directed evaluation teams for the development of oil and gas interests in Texas and Colombia and in 2007 initiated for Poros onshore exploration portfolios with assets in the Paris basin and Tunisia. Before joining the petroleum industry had an academic career at the Free University of Berlin and was associate professor in the National Museum of Natural History, Paris, with main research focus the Precambrian of Morocco and sedimentary basins and ridges of the Indian Ocean. Geologist, PhD. in tectonics and stratigraphy, he is author of more than 30 publications in international scientific or industry journals.

Spyros Bellas - Vice PresidentSince 2011 Spyros became a key player in the hydrocarbons working group (Ministry of Environment & Energy, Upstream: Hydrocarbons Directorate). He is member and negotiator in various Evaluation Committees for Licensing, Oil & Gas Expert of the EFG and since October 2016 Vice President of HHRM. He studied Geology at Patras University, Greece and holds his Ph.D. from Freie Universtität Berlin, studying bio-stratigraphy of deep water clastics (western Greece flysch) and world-wide correlations. He lectured at the Geoscience Dept. of FU-Berlin and carried out research on sequence stratigraphy and sedimentary basin evolution focusing in the Mediterranean Sea (International Continental Drilling Project ICDP, on-shore Crete, Peloponnesus, various oceanographic cruises), Poland & Spain. Since 2003 worked as senior geoscientist in QC at the Central Laboratory of Public Works, Geo-Engineering Dept., Athens, while lecturing applied geology at various Universities.

Loukas Georgalas - DirectorLoukas is General Director of Mineral Raw Materials in the Ministry of Environment and Energy. Since 1995, he works in the Ministry of Environment and Energy (former Ministry of Development or Ministry of Environment, Energy and Climate Change), where he has served as Head of Directorates of Energy Policy, Renewable Energy Sources and Saving Energy, Mineral Resources Policy and Energy Minerals. Geologist, PhD Hydrogeology, he has published a number of papers and has given many presentations. He has worked previously in GEMEE SA as a geologist, in drilling operations and was Chairperson of many committees, especially as Chairperson of the receiving Committee for the Archive for exploration and exploitation of hydrocarbons by Hellenic Petroleum SA, as Chairperson of the Assessment Committee of the Archive and as Chairperson of the Technical Advisory Committee for the Ioannina Concession.

Markos Loukogiannakis - DirectorMarkos is specialized in the petroleum exploration and has managed research, exploration and business activities of the oil sector in Greece and abroad since 1976. He served as Egypt Country Manager of Hellenic Petroleum S.A. from 2006 to 2012. Physicist, Ph.D. in Geophysics, he has published many papers in international journals and he had also being professor of seismic exploration in the post graduate department of geophysics in Thessaloniki University from 1995 to 2005. During the period 2012 to 2016 he served as General Manager of SEV Business Council for Sustainable Development. He participates as a voted member in the secretary of the Hellenic Network of the UN Global Compact. He is member of the Onassis Scholarship Foundation as well as of the European Association of Geoscientists and Engineers (EAGE).

Alexandra Sdoukou - Director Alexandra is working since 2004 as legal advisor in the public administration in various positions at the Ministries of Economy, Development and Environment, Energy & Climate Change and as employee at the Management Organisation Unit of Development Programmes (MOU S.A.). From 2012 to 2015 she was heading the Minister's Cabinet at the Ministry of Environment, Energy & Climate Change and was involved in operational and business development of the projects related to energy security and diplomacy of the oil and gas sector. Since 2010, she has coordinated the processes of hydrocarbons exploration and exploitation in Greece. She has drafted all legal documentation for the concessions from the call for tenders up to the lease agreements with the concessionaires and has led the negotiations on behalf of the Greek State. She holds a Bachelor in Law, a Master’s Degree LLM in European Commercial Law from the University of Bristol, a M.Sc. in International & Economic studies from the Athens University of Economics and Business and a Diploma from the Executive Program of Leading, Innovating and Negotiation of Harvard University, Kennedy School of Government..

Stefanos Xenopoulos - DirectorStephanos was employed between 1976-2010 by DEP/DEP-EKY/HELPE in the upstream hydrocarbons exploration and production sector, in reservoir engineering / well testing and field evaluations. He participated in the exploration campaigns in Greece that led to the discovery - among others of the West Katakolon and Epanomi fields. He has participated and led asset teams for the follow up of concessions and the acquisitions or farm–in interests in exploration and production blocks. On several occasions he presented in international and Greek conventions the status of exploration and production in Greece. He is chemical Engineer, holds a M.Sc. in Petroleum Engineering from Imperial College and has been member of the Greek Chamber of Engineers (TEE) and of the Society of Petroleum Engineers (SPE).